The present invention relates to substitute checks, and is particularly directed to a computer-implemented method of processing a substitute check and an apparatus therefor.
In a check truncation environment, an original check is not transferred between banks during the check clearing process. Instead, electronic image data which is representative of an image of an original check is transferred between the banks. When a paper version of the original check is needed, it may be printed on demand using the electronic image and related data which is representative of the original check. This paper version is called a substitute check. A substitute check is also referred to as an image replacement document (IRD).
The creation of substitute check for use in a check truncation environment is defined by American National Standards Institute (ANSI) X9.90 standard. This standard defines the content of a substitute check using the front and back images of an original check and data associated with the check. More specifically, a substitute check contains an image of the front and back of an original check. The substitute check also contains a magnetic ink character recognition (MICR) codeline that has all the information appearing on the MICR codeline of the original check at the time the original check was issued and any additional information that was encoded on the MICR codeline of the original check before an image of the original check was captured.
From time to time, it is conceivable that the MICR codeline of the substitute check may contain inaccurate information relative to the MICR codeline which appears in the check image on the substitute check. If this were to occur, a number of potential liabilities could arise. For example, a potential liability is that a bank may become legally liable for transfers of funds of a wrong amount or from a wrong customer. It would be desirable to avoid or at least minimize potential liabilities associated with inaccurate information between the MICR codeline of a substitute check and the MICR codeline which appears in the check image of the substitute check.